MEXICO CITY: Apollo Global Management Inc and other investors are seeking to raise as much as US$500mil in an initial public offering (IPO) of Grupo Aeromexico SAB, the Mexican carrier that emerged from bankruptcy protection more than two years ago, according to people familiar with the matter.
The alternative asset manager, which owns about 22% of Aeromexico, and other selling shareholders are aiming to raise about US$400mil to US$500mil in the Mexico City-based carrier’s listing, said the people, who asked not to be identified discussing confidential information.
The timing for launching the IPO remains unclear amid the volatility across Mexican markets following elections, one of the people said.
Representatives for Aeromexico and Apollo declined to comment.
Aeromexico is working with Barclays Plc, Morgan Stanley, JPMorgan Chase & Co, Evercore Inc and Apollo Global Securities on the IPO, according to a preliminary prospectus filed on May 13.
Aeromexico filed for Chapter 11 protection in 2020 amid a downturn in air travel due to the Covid-19 pandemic. Apollo ended up with an equity stake in the firm after helping keep it afloat amid the restructuring.
Aeromexico, which also counts Delta Air Lines Inc as a shareholder, is Mexico’s only remaining legacy airline and is eyeing a return to public markets two years after delisting from the local stock exchange. — Bloomberg